Question

Grey Brothers Consulting has issued a report recommending changes for its newest manufacturing client, Energy Motors. Energy Motors currently manufactures a single product, which is sold and distributed nationally. The report contains the following suggestions for enhancing business performance:

a. Add a new product line to increase total revenue and to reduce the company’s overall risk.

b. Increase training hours of assembly line personnel to decrease the currently high volumes of scrap and waste.

c. Reduce lead times (time from customer order of product to customer receipt of product) by 20% in order to increase customer retention.

d. Reduce the time required to set up machines for each new order.

e. Benchmark the company’s gross margin percentages against its major competitors.

Answer 1

The detailed answer for the above question is provided below:

ANSWER..

The report contains suggestions for enhancing business performance:

EXPLANATION..

a) for the first one, the first question stays at a new product line to increase total revenue on to reduce the company's over our weeks. So you're adding a new product line to increase revenue and to reduce the weeks so that would be innovation because you're adding a new product line, so that is an innovation success factor.

b)  The second one is we increase training hours of assembly line personnel to decrease the high volumes of scrapping way, so you're increasing the training hours off people off workers to decrease the on values off scrapped on with so that is caused on quality. So if you're increasing the training hours, you're saving costs on improving quality.

c)  Now the Todd one reduced lead time, time from customer or that off product to customer received of product by 20% in order to increase the customer retention. So you're reducing the lead time to get customer retention, right? So that means you're saving time. So it's a time success factor.

d)  The next one is reduced, the time required to set up machines for in each new order, so you're reducing the time. So this is saving time. You're also saving costs because you're it is in the time to set up machine for each new order.

e)  And finally, last one benchmark. The company's grew up scraps Majin percentages against his competitors. So if you're benchmarking, which is which means comparing, So if you are comparing the company's gross margin perfect percentage to its competitors, it means you're comparing the cost. So it's a cost successfactors. So if you're benchmarking the gross profits, he gross margin. That means the cost key success factors.

So these are the changes in operation and this key success factors for the question.